Insight readies Ministry Brands sale process, Clearlake’s TEAM Technologies strikes add-on, RLH-backed ClearView Healthcare in 2nd round

Tech for faith-based organizations: Insight evaluates Ministry Brands sale.

Morning hubsters!

Church-tech: Insight Partners is exploring a sale of Ministry Brands, which through its 31 brands provides various cloud-based software and payments solutions for churches, ministries and faith-based organizations, PE Hub has learned.

Ministry Brands has close to $100 million in run-rate EBITDA, which translates into a 35 percent profit margin, the people familiar with the company said. It was about five years ago that Insight paid $1.4 billion to acquire Ministry Brands, providing an exit for Providence Equity Partners, one of the sources said.

Like the rest of the world, faith-based organizations have accelerated their digital transformation and rapidly moved to online giving and online payments through the pandemic.

“Faith-based organizations historically gathered in person, where tithing, or giving, happened through cash or checks,” Eric Crowley, executive director at GP Bullhound, told PE Hub. “Ministry Brands was perfectly positioned to help those religious organizations transition to 100 percent digital with a one-stop offering of tithing, live streaming and many other services.”

Ministry Brands’ founder Ross Croley has helped to start a handful of other companies using a similar playbook involving an aggressive brand acquisition strategy. That includes behavioral healthcare software company Therapy Brands, which Lightyear Capital recently sold to KKR at a $1.25 billion value, PE Hub wrote. Another one of his companies, PSG-backed Government Brands, is also prepping for a sale.

The Ministry Brands process is expected to launch within the next month or two, some of the sources said. Read Milana’s full report on PE Hub.

Moving forward: ClearView Healthcare Partners, backed by RLH Equity, is in the second round of its sale process. Majority of parties accepted into the second round bid around $600 million to $700 million in the first round early this month, with one outlier at close to $750 million, sources familiar with the sale process told PE Hub.

The Newton, Massachusetts-based company, which can be likened to a global strategy consulting firm such as McKinsey & Co or LEK Consulting, but exclusively for the life sciences industry, is working with Houlihan Lokey on its sale process.

Second round bids are coming up in the next couple of week, some of the sources said. Read PE Hub’s full report.

Another Clearlake deal: TEAM Technologies, a portfolio company of Clearlake Capital Group, has acquired Precision Die Cutting, a medical specialty manufacturer specializing in skin-contacting technologies and infection prevention products. The deal furthers TEAM’s push into die-cutting, laminating and device assembly following its August 2020 purchase of Baril Corp.

Clearlake bought the Morristown, Tennessee platform company in 2018 from Riverside Co. Other add-ons include its March purchase of ViruDefense, which supplies domestically produced N95 respirator masks.

Read PE Hub’s brief on TEAM’s latest buy.

That’s it! Have a great week ahead, and in the meantime, hit me up with any thoughts, feedback, or tips at springle@buyoutsinsider.com.